Analysis of technological path-creation of new strategic industry by evolutionary game theory

Breeding new strategic industry is often a top-down government behavior, without considering the technology evolution. The evolution of technology process may be inefficient technology path dependence, which inhibit the development of industry. Stock of secondary knowledge, features of organization and invariance of consumer preference in short-term may lead to technology path dependence. In this paper we explore technology change by evolutionary game theory and find that different initial state of evolutionary game can lead to different equilibrium: in A area, technology path dependence will occur; in C area, the inferior technology will be replaced. At last, some suggestions are put forward to create new technology path for new strategic industry: the government's property rights and environmental laws will break the path dependence, and enterprises take compatible technology may help to create a new technology path.